Your Honor got it all wrong on PBMs, says Oklahoma

NCPA May 20, 2024

On May 10, Oklahoma's insurance department, chaired by its commissioner, Glen Mulready, urged the U.S. Supreme Court to review a recent Tenth Circuit decision that struck down parts of a state law regulating PBMs, as reported by Law360. The state argues that Supreme Court intervention is necessary to resolve discrepancies among circuit courts regarding federal preemption. The Tenth Circuit's ruling invalidated sections of Oklahoma's Patient's Right to Pharmacy Choice Act, contending they conflicted with federal laws like the Employee Retirement Income Security Act and Medicare Part D. Oklahoma challenges this, asserting that Congress didn't intend to federalize traditional state regulation areas. The state also highlights a split between the Tenth and Eighth Circuits' decisions on similar laws, and Oklahoma claims the Tenth Circuit's ruling undermines its efforts to address PBM abuses, citing a precedent set by the Supreme Court's Rutledge v. PCMA decision. The state underscores discrepancies in how the circuits ruled on Medicare preemption. Oklahoma's petition for a higher review urges the Supreme Court to reverse the Tenth Circuit's decision.

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